CAPITAL MARKETS

Uranium stays hot, base metals cool

Aluminium near 13-year high

Staff reporter
 Cameco’s Cigar Lake uranium operation in Saskatchewan, Canada

Cameco’s Cigar Lake uranium operation in Saskatchewan, Canada

The spot price rose more than 4% yesterday to US$44.15 per pound, levels last seen in 2012.

Canada-based producer Cameco touched a one-year high intraday before closing flat.

"So uranium is the hot play of the day, but has it run too far and due a breather?" Pepperstone head of research Chris Weston asked, noting uranium plays were getting the attention once reserved for GameStop and AMC.

Gold was steady about $1,790 an ounce on the spot market.

Base metals closed lower in London, although aluminium remains near a 13-year high and the $3,000 per tonne mark.

Chinese output is down amid drives to reduce emissions and conserve power, while a coup in bauxite producer Guinea has raised concerns over the supply of the material used in aluminum production, Bloomberg reported.

Key market futures were up after the US snapped a losing streak yesterday.

Among the mining majors, Rio Tinto rose 0.4% in London, Freeport-McMoRan lost 0.5% in New York and BHP was up slightly in morning Australian trade.

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